How to enter WA LTC "tax"?

[superlyc]

Hi,
For WA resident, employer automatically deduct 0.58% from paycheck that goes to WA care fund. It seems this is considered as state tax and can be used as deductible on Federal Return. People saying it should shows up in Box 14 and then I can enter it on TurboTax. However, my wife's W2 does not have a number in Box 14. But her pay slips does have this items. So how should I enter this on W2.

I got exemption before this was effective. So, I was paying LTC premiums myself. I also found this link which says I can enter it as medical expense. However, the when I tried it it only ask me if I spent more than certain amount last year and did not have the options as the link shows.

Thank you in advance

[RogerD1]

You can enter the amount of the Washington LTC tax for your wife in Box 14 of her W-2 in TurboTax - select the category as "Other deductible state and local tax" and that will transfer it as a deduction.

Since Washington does not have state income tax, it seems unlikely that the amount of this tax will be more beneficial than the state sales tax for deduction on your tax return.  You're allowed to used either the state and local income taxes or state and local sales taxes as a deduction, but you can't use both.  You can access the sales tax calculation in the Deductions and Credits section in the category of Estimates and Other Taxes Paid.  Click Start for the Sales Tax category to get started with that.

[superlyc]

Thank you. How about the LTC premium I paid for myself, is that deductible?

[MarilynG1]

Premiums for Long Term Care Insurance are deductible in the Medical Expenses section in your Federal return.  There's a specific question asking for amount of LTC premiums paid.

@superlyc 

[superlyc]

Does the online have it?

[MarilynG1]

Yes, several screens into the interview for Medical Expenses; nearly the same screen.

@superlyc 

[superlyc]

Is it under the same rule of " you can deduct unreimbursed, qualified medical expenses that exceed 7.5% of your Adjusted Gross Income (AGI)"? 

[MarilynG1]

Yes, the 7.5% of AGI applies to the total Medical Expenses included on your return.  Here's more info on Deductible Medical Expenses.

@superlyc